Audit Uncovers QPS Financial Mismanagement

Minister for Police and Emergency Services The Honourable Dan Purdie
  • An independent review has exposed a decade of financial mismanagement and governance failures within the Queensland Police Service under the former Labor Government.
  • Overspending, weak financial controls and unfunded unsworn staffing growth among key Labor failures identified.
  • The Crisafulli Government is taking decisive action to restore accountability, strengthen financial oversight and ensure more resources are directed to frontline policing after Labor failed to respect Queenslanders' money during their decade of decline.

A bombshell independent review has exposed the extent of the former Labor Government's financial maladministration of the Queensland Police Service, with a series of systemic issues identified which would have led to an estimated $400 million structural deficit if left unchecked.

The independent financial audit commissioned by the Crisafulli Government, which has led to referrals to the Crime and Corruption Commission, identified shocking instances of financial mismanagement and governance failures in the Queensland Police Service, including:

  • Ineffective financial systems "unable to effectively control expenditure" (p6) and "no checks or oversight mechanisms" to "verify whether the funding was being expended for its approved purpose." (p16)
  • Lack of controls around the skyrocketing number of additional non-frontline positions, which were "obscured", and the "reclassification" of non-frontline staff, "without making the necessary internal adjustments to absorb the additional cost". (p17)
  • Failure to quarantine funding for approved purposes, "defying government decisions by using funding provided for purposes other than which the funding was intended." (p6)
  • Constructing an "internal budget" which allowed "QPS to operate outside the fiscal discipline of the State Budget." (p45)
  • Failure to forecast required frontline police growth based on planned and unplanned attrition, to meet community safety needs. (P20)A "siloed organisational culture" and "inability to effectively manage ongoing organisational and workforce changes". (p6)
  • Procurement division "lacks the skills and capability required to perform its strategic and operational role effectively" delivering contracts that "do not represent value for money". (p61)

The QPS Independent Financial Review, which has been tabled in Parliament today, found the former Labor Government allowed years of overspending, weak financial controls and unfunded unsworn staffing growth within the Queensland Police Service to go unchecked over a decade of decline.

Matters identified in the Review have been referred to the Crime and Corruption Commission for its consideration and potential further investigation.

The Review has made 21 recommendations, and the Queensland Police Service has agreed to the Crisafulli Government's direction to undertake necessary reforms, including developing a robust workforce and financial modelling capability that will be accessible to Queensland Treasury and the Department of the Premier and Cabinet to support stronger oversight and accountability.

The Queensland Police Service has now been tasked with restoring the financial discipline and accountability that deteriorated during Labor's decade of decline.

The Review's Terms of Reference outlined that any proposed budget strategy would include no redundancies, as Government election commitments continue to be delivered.

The Queensland Police Service will return more police to the frontline, with 40 per cent of officers currently performing non-frontline duties to be returned to frontline policing over the next 18 months, with monthly progress reporting to the Director General of the Department of the Premier and Cabinet and the Under Treasurer.

A recommendation which calls for an independent review of the Aviation Capability Group, including QGAir, has also been actioned by the Crisafulli Government.

Minister for Police and Emergency Services Dan Purdie said the Review confirmed Labor left behind serious financial and governance failures inside the Queensland Police Service.

"Queenslanders are now seeing the true extent of a decade of weak oversight and poor financial discipline under the former Labor Government," Minister Purdie said.

"The former Labor Government allowed spending to spiral without proper controls while frontline policing pressures continued to grow due to Labor's weak laws and failure of support.

"The financial practices under which the QPS has been operating are unacceptable and will not continue, respect for Queenslanders' money will be restored under the close eye of the Under Treasurer and the Department of Premier and Cabinet.

"Queenslanders expect taxpayer dollars to be properly managed and directed towards restoring safety, which is why the Crisafulli Government commissioned this review and why we are acting decisively to undo Labor's mess."

Queensland Police Service Acting Commissioner Brett Pointing said he was committed to leading the QPS through this next phase of reform.

"While this is a challenging moment for the QPS, it is an important step in strengthening our organisation," Acting Commissioner Pointing said.

"Our focus is firmly on embedding lasting improvements in financial management, workforce planning, and governance while continuing to deliver for the community.

"We will maintain the reform momentum, working through the Review's recommendations and continuing to drive meaningful, lasting change across the organisation."

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